Chevron Mining’s collective bargaining agreement had provisions for “memorial
periods,” which were essentially unpaid work stoppages. Under the collective
bargaining agreement, strikes were prohibited. As a result, the union called
six
“memorial period” work stoppages at one mine in 2004 in an effort to
pressure the employer.

The company had a bonus plan in place that was contingent on the employee’s
mine reaching its various safety and financial goals. The plan was subject to
unilateral amendment with no arbitration. An employee’s only recourse was to
quit the plan, if he or she disagreed.

In response to these work stoppages, Chevron Mining amended its bonus plan to
eliminate bonuses for union-represented employees where such an action took
place, regardless of whether or not the mine met its financial or safety
goals.

The D.C. Circuit Court of Appeals looked to whether the memorial period work
stoppages were allowed under the collective bargaining agreements, as they took
place. Generally, the court noted, it was an unfair labor practice for an
employer to interfere with or restrain a right that was allowed under a CBA.

In looking at the district court’s opinion, the appellate court determined that
the parties intended that the memorial periods could be used to strike over an
arbitrable dispute. At the time these stoppages occurred, Chevron Mining made no
attempt to stop them,nor did it indicate that the employees were out of line.

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